Boston, MA 10/04/2013 (wallstreetpr) – The financial year 2013 turned out to be quite unfavorable for the Chief Executive Officer of Microsoft Corporation (NASDAQ:MSFT). The CEO, Steve Ballmer ended up receiving $1.26 million as compensation this year. On Oct 3, the Washington based software company declared that Ballmer received only 79% of his base salary, in contrast to the 200% that he was actually entitled to. According to a filing the company registered yesterday, he was delivered a bonus of $550,000.
If we look at the records for the previous year 2012, Ballmer had received only 50% of the maximum bonus that he was eligible to receive. Hence, in the fiscal year 2012, he received a compensation of $697,500. Taking a step further back, in the year 2011 also, similar results are reflected.
For the previous couple of years, Microsoft had exhibited poorer than expected performance in different sectors like Windows and cell phones. This year, the board members pointed towards the below par standard of sales of the company’s Surface Tablets to explain their of Ballmer’s performance. The company has been struggling in the market for personal computers and mobile devices. In the previous month, Microsoft had launched two new versions of Surface Tablets. However, none could stand against the demand for Apple’s iPad and other Android devices. As a result, the company had to take a set down path of $900million in the previous quarter.
Ballmer has plans to retire by August next year. In this context, the company had announced special awards for chief authorities in September, to ensure they remain firm on their positions during this phase of change of the CEO. It was also partly because of the new developments that are being made in the company to lay more stress on devices. A second move keeping in view the same factors is an increase in the targeted compensation for its executives.
